Florida Central Credit Union to Buy Bank Branch
The $399 million Florida Central Credit Union in Tampa plans to buy a First Federal Bank of Florida branch in Sarasota, Florida Central President/CEO Laida Garcia said last week.
The move would potentially bring the credit union hundreds of new members and about $12 million in deposits.
“We like this opportunity because it is a great location, it will serve as our new branch to serve our (2,000) Sarasota members, and it comes with the potential of 600 new members,” she said.
Garcia declined to disclose the terms. “All I can tell you is that we are paying a premium for those deposits we are acquiring because the whole transaction makes a whole lot of sense for us, so we wanted to make that happen,” she said.
Florida Central will be sending letters to 600 customers of the bank branch, inviting them to become members. The credit union serves more than 50,000 members.
“First Federal Bank of Florida is actually a mutual savings bank, so we have a lot in common in how we serve our customer base,” Garcia said. “I really don't see why they wouldn't want to remain with our branch but we have to request that they opt in through a letter and invite them to join.”
Garcia said she expects to receive word from regulators in July. It would be Florida Central's 12th branch.